No announcement yet.

Tax teams to verify stocks turnover

  • Filter
  • Time
  • Show
Clear All
new posts

    Tax teams to verify stocks turnover

    Tax teams to verify stocks turnover

    By Ikram Hoti

    ISLAMABAD, Nov 24: Business premises of more than 10,000 traders and manufacturers with high
    turnovers will be visited by the tax officials from December 4, 2000, to check whether their stocks
    tally with the figures they had provided in their tax returns.

    About 50 joint teams of income and sales tax staff are being formed to conduct these checks in
    Karachi, Lahore, Peshawar, Quetta, Hyderabad, Multan, Gujranwala, Sukkur, Faisalabad,
    Nawabshah, Bahawalpur, Rawalpindi and Islamabad.

    The Central Board of Revenue officials told Dawn here on Friday that "traders and manufacturers
    have been given enough time to declare their actual stocks" before the launch of physical verification.
    They were given a chance to declare their turnovers through the Tax Survey forms.

    The CBR officials said traders and manufacturers were given exemption from declaring their trade
    stocks in the tax survey forms. However, they were required to declare the stocks in the income tax
    returns for this year.

    But, they were repeatedly cautioned by the tax authorities that a physical verification would be
    conducted if they fail to correctly declare their stocks in tax returns.

    Figures received through the survey of businessmen in 13 major cities would be matched with those
    supplied through IT returns this year.

    "Discrepancies detected in the figures would be listed and notices would be issued to those who
    committed understatement of stocks and turnover through IT returns," a source said.

    He said that Pakistan Revenue Automation Limited (PRAL) has created profiles of each business
    sector in the country, on the basis of which the minimum turnover of traders would be checked.

    Benchmarks have also been devised, which would be applied by the income tax officials for matching
    the stocks with the turnovers declared through the IT returns.

    The businessmen found under-declaring their turnovers through IT returns, would be served notices
    mentioning their estimated turnovers.

    If they agree to these estimated turnovers, they would simply be asked to declare their turnovers in
    accordance with the official benchmark, without payment of any penalties.

    Those refusing to accept having under-declared stocks would be asked to get their total stocks
    physically verified. The inputs of the businessmen's taxable activities would be listed alongside their
    actual stocks. Purchase of stocks over the past about six months would also be listed to confirm the
    quantum of turnover.

    The physical verification will be the first ever exercise at this scale.


    This is a first step to work out with the article mentioned before hand.
    If only we could recieve tax from 25% of the people in the next three years.
    That would be good.
    Also do you think the small traders will pay taxes or not?

    You can't fix stupid. So might as well troll them!